What’s your opinion on crypto lending ?

[KryptoBell]

Personally, I haven’t lent or borrowed cryptocurrency on any exchange platform prior as it never crossed my mind but it piqued my interest when i came across it online today. On maple finance or so, i had to research a little about lending and i realized it’s one of the process through which trading firms and other crypto institutions raise funds.

I also realized not only exchanges can lend crypto assets, traders as well can also give out loans through exchanges to maximize profits but from your perspective, what’s your take on crypto lending ?

[Zed0X]

Personally, I don't like using third party platforms for lending. Yeah, there are perks to it like less risky on the part of the lender but you're limited to their terms. I had some P2P lending before and all transactions went smoothly. You can dictate the terms or you can have the flexibility to pick and choose. The main problem though is you have to put a lot of trust on the borrower.

[MrSpasybo]

Personally, I haven’t lent or borrowed cryptocurrency on any exchange platform prior as it never crossed my mind but it piqued my interest when i came across it online today. On maple finance or so, i had to research a little about lending and i realized it’s one of the process through which trading firms and other crypto institutions raise funds.

I also realized not only exchanges can lend crypto assets, traders as well can also give out loans through exchanges to maximize profits but from your perspective, what’s your take on crypto lending ?

Lending and borrowing have been around on platforms in the crypto market. I'm not against them, in fact, I believe they're contributing to consolidate liquidity and boost the market development.

However, I choose to stay out of these features in the crypto market. I don't lend, and I don't borrow. I'm concerned that I don't have enough experience to manage the risks involved in this sector of the crypto market. I witnessed the collapse of many lending/borrowing projects in 2022 following the LUNA-UST event and don't want to be on the list of victims of a similar event in the future.

[KryptoBell]

Personally, I haven’t lent or borrowed cryptocurrency on any exchange platform prior as it never crossed my mind but it piqued my interest when i came across it online today. On maple finance or so, i had to research a little about lending and i realized it’s one of the process through which trading firms and other crypto institutions raise funds.

I also realized not only exchanges can lend crypto assets, traders as well can also give out loans through exchanges to maximize profits but from your perspective, what’s your take on crypto lending ?

Lending and borrowing have been around on platforms in the crypto market. I'm not against them, in fact, I believe they're contributing to consolidate liquidity and boost the market development.

However, I choose to stay out of these features in the crypto market. I don't lend, and I don't borrow. I'm concerned that I don't have enough experience to manage the risks involved in this sector of the crypto market. I witnessed the collapse of many lending/borrowing projects in 2022 following the LUNA-UST event and don't want to be on the list of victims of a similar event in the future.

You’re absolutely right, protecting one’s capital should always come first. The Luna wreck in 2022 was a like a wake up call to increase one’s risk management. Do you think lending would be worth it now, i’m thinking of testing the waters.

[rdluffy]

I use it a lot
In both EVM and SOLANA networks

What would be your purpose for using lending?
I can help you to chose the best option (and safest)

Here I use the following protocols:
Kamino and MarginFi on Solana
Aave, Zerolend and Mendi on EVM networks

There are plenty of options

[electronicash]

using the exchanges to lend and borrow most probably is the safest than doing it on the forums which I have seen users doing it on BTT.  i haven't tried it either of them but maybe one day.

i sometimes read those threads where users who borrowed coins from shasan just moved on and doesn't have plans to go back in the forum. The user just borrowed and doesn't have plans to repay.

[Faisal2202]

I also realized not only exchanges can lend crypto assets, traders as well can also give out loans through exchanges to maximize profits but from your perspective, what’s your take on crypto lending ?

First of all we need to know why we need crypto loans, although there are several platforms giving loans with lower or higher interest rates but why we need it, because if we lack capital and want to trade there are platform like firms, where we just have to prove ourselves with trading exam and they will give us capital and we have to trade with it.

There are some platform who only charges 10% commission on all the profits we make, so yeah, if we want to trade with huge capital we should approach them but if we need loan to use it for our normal life, we should not take it, that's my take here.

[tabas]

I am scared of doing that. With all of the news about hacking incidents with lending platforms, they're most targeted to get exploited. While if someone is very optimistic about it and they can earn that much, always know that there is a risk behind that. And for that reason, we need to understand that it's not an easy way of making money because that's one of the risk that one should take when they go with these platforms and lend their cryptos.

[Findingnemo]

P2P lending is what I know which is high risky but high returns, there are few users who does that on bitcointalk and also lost to defaulters. I am not a fan of the platform lending either, it is risky, maybe I am not aware of it's potential yet. When we are our own bank the concept of lending mismatches.

[joniboini]

I think they're quite risky, especially if you're dealing with no collateral lending or something similar. I don't think the average joe should touch it. Even if you participate as a lender, you can still get wrecked by market conditions, terrible borrowers, etc. I agree with what has been said above, it's basically a high-risk, high-reward platform for someone with a lot of capital that can sustain the risk associated with it. If you want to grow your money by being a lender, maybe start your own lending service on this forum to build a reputation instead of locking your funds on a lending platform.